Following the publication of the LMA Day One ZARONIA Agreement and the update of the South African Rate Switch Agreement to recommended form, the LMA has updated its existing South African Rate Switch Commentary to cover both the Day One ZARONIA Agreement and the unsecured and secured Rate Switch Agreements.  

The LMA welcomes market feedback on the Day One ZARONIA Agreement by 30 January 2026.  Stay tuned for an LMA webinar in January 2026 which covers the latest developments as well as the publication of the Day One ZARONIA Agreement. 

To further support the market’s transition from JIBAR to ZARONIA, the LMA is pleased to have published three key documents: 

• Exposure draft day one ZARONIA facility agreement (with comments due by 30 January 2026)
• Recommended form SA rate switch agreement (unsecured)
• Recommended form SA rate switch agreement (secured)

An updated commentary on the interest rate provisions in these documents will be made available shortly. 

The South African Reserve Bank (SARB) has announced that the Johannesburg Interbank Average Rate (JIBAR) will be permanently discontinued after its final publication on 31 December 2026. ZARONIA is the designated preferred successor rate. 

Market participants are urged to accelerate transition efforts, update contracts, reduce reliance on JIBAR and ensure operational readiness for ZARONIA. 

The LMA continues to support the market in the transition and will shortly be publishing a day one ZARONIA facility agreement. 

For full details, please read the SARB Announcement